Organization : Enterprise Finland/ Ministry of Employment & Economy
Type of Facility : Pay Subsidy
Country: Finland
Website : https://www.suomi.fi/frontpage
Pay Here : http://www.te-services.fi/te/en/employers/find_an_employee/support_recruitment/pay_subsidy/index.html
Pay Subsidy :
Organisation: TE Office
Financial support to the employer for the wage costs of an unemployed person.
Related : Enterprise/ Ministry of Employment & Economy Start-Up Support For Companies Finland : www.statusin.org/8299.html
What:
The objective of work supported with pay subsidy is to improve the professional skills of the unemployed person and to enhance their opportunities for employment on the open job market.
Pay subsidy is a compensation for the diminished productivity of the person hired with the subsidy in the available assignment, due to their lack of professional skills, disability or illness.
To Whom:
Pay subsidies can be granted to municipalities, joint municipal authorities, companies, associations and foundations, other organisations, and households.
Terms and criteria:
The pay subsidy is discretionary. It can be granted if the TE Office deems it an appropriate means of enhancing the employment of an unemployed person.
The employer must commit to paying the employee wages according to the applicable collective labour agreement or, if no collective labour agreement is applicable, the typical and reasonable pay for the work in question.
However, the subsidy cannot be granted if:
** The employer has laid off personnel for financial or production-related reasons or the employer has employees with part-time contracts, unless the employer has, prior to submitting an application for pay subsidy, offered employment pursuant to the Employment Contracts Act to any employees that have been laid off, dismissed or who are working part-time.
** An additional precondition for granting pay subsidy to an employer engaged in business operations is that the employer has offered work to employees dismissed for financial or productive reasons, whose period of notice has ended within the 12 months prior to submitting the pay subsidy application. The obligation to offer work to dismissed employees whose period of notice has ended is more extensive than the obligation to re-employ laid down in the Employment Contracts Act.
** the employment based on the subsidy would or could cause other employees to be laid off temporarily or permanently, or worsen their working conditions or benefits
** the subsidy would distort competition between other parties offering similar products or services
** the employer has significantly neglected its duties to pay taxes or other statutory payments
** an employer engaged in business operations is a company in difficulty referred to in the EU General Block Exemption Regulation on state aid, or the employer is subject to an outstanding recovery order following a European Commission Decision declaring an aid illegal or incompatible with the internal market
** the employment that the subsidy is intended for began before the decision was made on granting the subsidy
** the wages of the person hired with the subsidy is based on the results of the work; for example, if the pay consists of sales commission only, with no basic pay.
Act as follows:
The employer must apply for the pay subsidy from the Employment and Economic Development Office (TE Office) in the region in which the job is located, or in which the person being hired is registered as an unemployed jobseeker. The subsidy can be applied for either electronically through the Palkkatuki online service or via form TEM320. Associations and foundations that engage in business operations must attach a copy of the last tax return delivered to the tax authorities, the latest tax decision, and the decision of any tax relief granted.